Paystream for Ltd / PSC services

[JRC1]

Been using Paystream for Umbrella services which have been great.

Latest gig was an Outside role at short notice so for ease I began using Paystream's PSC contractor/acccounting services.

So far so good, portal is easy to use, always quick to get hold of someone for queries etc.

However, their fees are £180 per month. From some quick research on here this seems top end... is it a big no to use brolli companies for their Ltd accounting services?

Are there good alternatives out there that offer the same ease/portal functionality/dedicated team etc for a fraction of the price or is this about the money for the type of service?

Thanks

[jamesbrown]

I’d be more worried about the MSC legislation than your monthly bill. It’s probably coming for you.

[eek]

Freeagent is free with a Natwest / RBS / Mettle account.

Appropriate insurances can be purchased for £400 or so from QDOS

And you really don't want to be using an accountancy firm that is also your employer when you have an inside contract.

The reasons why that is an incredibly bad idea can be seen at Churchill Knight & Boox clients being investigated as Managed Service Companies - Contractor UK Bulletin Board

And that was HMRC literally picking 2 accountancy firms in a panic last March. Come March 2023 I can see a lot of additional firms being called MSCs.

[northernladuk]

Latest gig was an Outside role at short notice so for ease I began using Paystream's PSC contractor/acccounting services.

Don't do things for ease. Do them properly.

[Fred Bloggs]

I’d be more worried about the MSC legislation than your monthly bill. It’s probably coming for you.

This ^^^^. Quite likely on the list when Hector is done with CK and Boox.

[JRC1]

I’d be more worried about the MSC legislation than your monthly bill. It’s probably coming for you.

Despite the roles / services being completely different? One was a typical inside role that could have been sourced in house, whereas the outside role is completely specialist and couldn't be more different from the inside role.

Freeagent is free with a Natwest / RBS / Mettle account.

Appropriate insurances can be purchased for £400 or so from QDOS

And you really don't want to be using an accountancy firm that is also your employer when you have an inside contract.

The reasons why that is an incredibly bad idea can be seen at Churchill Knight & Boox clients being investigated as Managed Service Companies - Contractor UK Bulletin Board

And that was HMRC literally picking 2 accountancy firms in a panic last March. Come March 2023 I can see a lot of additional firms being called MSCs.

Thanks. Even without those accounts, Freeagent seems very reasonable... £14.50 p/m... so what am I missing? Surely it doesn't provide the same service as Paystream does for 10% of the price? Is it just software without the access to a dedicated team for any queries etc?

Don't do things for ease. Do them properly.

Super helpful, thanks.

[malvolio]

Despite the roles / services being completely different? One was a typical inside role that could have been sourced in house, whereas the outside role is completely specialist and couldn't be more different from the inside role.

Nothing to do with the role, everything to do with your accountancy service(s).

Thanks. Even without those accounts, Freeagent seems very reasonable... £14.50 p/m... so what am I missing? Surely it doesn't provide the same service as Paystream does for 10% of the price? Is it just software without the access to a dedicated team for any queries etc?

Most sensible people have an accountant (or access to one) if they aren't one themselves, but Freeagent does have a support team for day-to-day stuff. Don't expect them to handle year end accounts though. It's just software, it just happens to be able to manage 95% of your day-to-day work and links to your bank account(s). WE don't use it for fun.

Super helpful, thanks.

Yes, it is actually. Your job is not the skills you sell, it's being a contractor. Learn how to do it properly.

[northernladuk]

Thanks. Even without those accounts, Freeagent seems very reasonable... £14.50 p/m... so what am I missing? Surely it doesn't provide the same service as Paystream does for 10% of the price? Is it just software without the access to a dedicated team for any queries etc?

Super helpful, thanks.

Correct. Freeagent is just a book keeping tool. You still need an accountant behind to advise on tax changes, efficient levels and any other queries you have.

Paysteam will be expensive as they are big company with a lot of overheads. They will also be taking advantage of their customers that switch from brolly to accountant and charge them a premium because they will be too lazy to leave and find another company that doesn't have the pool of brolly contractors already. The other companies will have to be more competitive on price to win new business.

[mogga71]

I’d be more worried about the MSC legislation than your monthly bill. It’s probably coming for you.

I second this. Paystream are good but as they are a very popular service I would imagine that they are pretty high up on the HMRC MSCP hit list ... along with InniAccounts.

It's only my opinion (and admittedly probably the coward's way out) but until this whole MSCP fiasco is behind us I would only go the brolly route anyway ... it's just too risky (or big pain in the backside) otherwise.

[eek]

Correct. Freeagent is just a book keeping tool. You still need an accountant behind to advise on tax changes, efficient levels and any other queries you have.

Paysteam will be expensive as they are big company with a lot of overheads. They will also be taking advantage of their customers that switch from brolly to accountant and charge them a premium because they will be too lazy to leave and find another company that doesn't have the pool of brolly contractors already. The other companies will have to be more competitive on price to win new business.

You really don't - a bit of reading round here will tell you everything you need to pick an appropriate salary and how to handle dividends.

Heck FreeAgent will even do your end of year accounts submission to HMRC for you.